Analysis by an industry leader has examined how the type of borrower affects the likelihood of a mortgage default

Auswide Bank has trimmed its variable interest rates, following its promise to expand its broker network.

The Queensland based lender announced its rates will be reduced by 20 basis points on variable rate home and business loans, effective 22 May 2015. Both its Home Loan Plus product and Business Term Loan (backed by residential security) will have new standard variable rates of 5.48%.

Auswide Bank’s Managing Director, Martin Barrett says Auswide Bank may be Australia’s newest bank (formerly Wide Bay Australia), but the Queensland based lender had a track record of providing affordable and fully featured finance options that go right back to the 1960’s.

“Why deal with the big banks or an online lender when you can source a great home loan from a smaller customer focused bank,” he said.

“There are a lot of offers out there but Auswide Bank delivers a competitive interest rate plus loan features, such as the ability to make extra payments without penalty, a redraw facility and our 100% Mortgage Offset account, that might be a smarter choice.”

The latest rate discounts will see a customer with a variable rate home loan of $250,000 saving $41.66 per month in interest payments, according to the lender.